Profit Bookings And Earnings To Cook The Perfect Return Recipe

Apr 05, 2019 | 14:33 PM IST

Apr 05, 2019 | 14:33 PM IST

Our Analysis

The first week of the financial year 2019-20 will be a landmark in Indian share markets as Sensex hit an all-time high on its 40th birth anniversary by breaching the 39,000 mark. The Nifty kept the pace ahead and didnt disappoint investors by registering an all-time high on 3rd April. The optimism on D-street was fuelled by the core sector, Which showed stronger growth in February at 2.1 percent Vs 1.5 percent in January, Also the government recorded the highest GST collection in the last month of the fiscal 2018-19 at Rs 1.06 trillion. However, after making the top, benchmark indices drifted in the negative territory with Skymet report concerns, the private weather forecaster which estimated that monsoon could be below average due to the El Nino effect.

In the aftermath of weekly expiry and RBI Monetary meet the market witnessed high volatility and profit booking from a higher level which finished the indices below 11,600 Mark. The MPC decided to reduce the policy rate by 25 bps to 6 percent, A key takeaway from the policy is the projection of benign inflation for FY2020. Since the GDP growth rate for FY2020 has been lowered in this benign inflation scenario, one can expect more rate hikes this year. The stance has been maintained at neutral perhaps in the context of the rising crude price and concerns regarding a below normal monsoon.

Going ahead in the coming week the center of attention would be the Q4FY18-19 earnings and the Mega event, General election. The first phase of the polls will be held on April 11 and the polling will go on in phases till the conclusion of the final phase on May 23.

This Weeks Market Highlights:

Benchmark Indices:

1) On Monday, Indian share market ended higher but off day's high on the back of last hour selling pressure on the first day of the financial year 2020. The Sensex breached a record high of 39,115.57 during the day, while Nifty also finished above 11,650 level.

2) Among Sector compiled by NSE advanced, led by the Nifty realty indexs 0.87 percent fall. While, the Nifty Metal Index was the top sectoral gainer, up 1.84 percent.

3) On Tuesday, Indian share market ended higher for the fourth consecutive day, the Sensex was up 184.78 points at 39056.65, while Nifty was up 44 points at 11713.20.

4) Among Sector compiled by NSE advanced, led by the Nifty Realty Indexs 2.3 percent rally. While, the Nifty Media Index was the top sectoral loser, down 0.87 percent.

5) On Wednesday, the Sensex was down 179.53 points at 38877.12, while Nifty was down 69.20 points at 11,644. All the sectoral compiled by NSE fell, led by the Nifty PSU Bank Indexs 2.7 percent decline.

6) On Thursday, the Sensex was down 192.40 points at 38,684.72, while Nifty was down 46 points at 11,598. Among sector compiled by NSE fell, led by the Nifty IT Indexs 1.37 percent decline. While, the Nifty Media Index was the top sectoral gainer, up 1.09 percent.

7) On Friday, Indian equity benchmarks opened higher after declining for two consecutive trading sessions.

Broader Index & Global Market:

- Globally, Concerns over the economic slowdown cooled off as China reported a strong reading of official PMI. Consumer sentiment and manufacturing output in US rose in March, which will revive investors itch for riskier assets. Also, The US-China trade talk on the final stage, Which kept the sentiment in an upbeat.

- In the broader market, We have witnessed some weakness, Companies with the sound fundamentals had witnessed up move otherwise it was a dull week for Mid & Small-cap.

Movers & Shakers

Shares of Indiabulls Housing Finance Ltd. surged nearly 6 percent in a week, After the company in a regulatory filing stated, it has raised Rs 17,300 crore in the March quarter of 2018-19. The company has planned to borrow Rs 26,000 crore in the current financial year.

Shares of Amara Raja Batteries Ltd (ARBL) dropped nearly 7 per cent in a week, After the company said in the statement that "Amara Raja Batteries has informed the exchange regarding the termination of shareholders agreement between Galla Family and Johnson Controls (JC) and consequent termination of alternative agreements entered by the Company with JC,"

Key Market Drivers

India's current account deficit (CAD) came in at USD16.9b (2.5% of GDP) in 3QFY19 as against USD13.7b (2.1% of GDP) in the year-ago quarter.

RBI modified the revelation on material divergences on provisioning, saying the bank will have to disclose their provisions if the divergence is more than 10% of the banks PBT compared to 15% of PAT earlier.

Output growth of eight core industries Recorded at 2.1% in February 2019.

Goods and Services Tax (GST) collection has recorded Rs 11.77 trillion in fiscal 2018-19, with the record realization of Rs 1.06 trillion in March alone.

Stocks To Watch

Indian share market started flat ahead of RBI policy Meet. the Sensex was up by 45.55 points at 38922.67, while Nifty up by 5 points at 11649. All the sectoral compiled by NSE traded lower, led by the Nifty PSU Bank Indexs 2.7 percent fall. The Indian rupee opened lower against the U.S. dollar ahead of the RBI policy. The home currency depreciated as much as 0.22 percent to 68.57 against the greenback.

In the afternoon session, RBI Committee decided to cut its benchmark interest rate. The committee cut the repo rate by 25 basis points to 6 percent. The Sensex was down by 108.96 points or 0.28% at 38,768.16 and the Nifty was down by 31.25 points or 0.27% at 11,612.60. Among sector Auto, Pharma &reality were trading higher while Energy, IT & metal were trading in the red. In a Broder Market, NSE mid-cap was down by 0.27% and smallcap indices were trading lower by 0.75%, respectively.

Indian Share market Update in the last hour of trade, Nifty was trading around 11600 Mark. Indian equity benchmarks ended lower for the second consecutive trading session after the Reserve Bank of India cut repo rate as per the expectations, but refrained from shifting to a more easy stance. the Sensex was down 192.40 points at 38,684.72, while Nifty was down 46 points at 11,598. Among sector compiled by NSE fell, led by the Nifty IT Indexs 1.37 percent decline. While, the Nifty Media Index was the top sectoral gainer, up 1.09 percent. In the broader Market Update, the NSE MidCap Index was down by 0.21 percent and the NSE SmallCap Index was lower by 0.47 percent.

A key takeaway from the policy is the projection of benign inflation for FY2020. Since the GDP growth rate for FY2020 has been lowered in this benign inflation scenario, one can expect more rate hikes probably two more this year. The stance has been maintained at neutral perhaps in the context of the rising crude price and concerns regarding a below normal monsoon.

Top Gainers

IBULHSGFIN by 3.29% to Rs 898.50. ,ZEEL by 3.28% to Rs 417.80 ,TATAMOTORS by 2.46% to Rs 206.30, ULTRACEMCO by 2.46% to Rs 4,100.00, BRITANNIA by 2.00% to Rs 3,050.00.

Top Losers

TCS By -3.00% to Rs 2,017.00, HCLTECH by -2.70% to Rs 1,090.35 ,BPCL by -2.56% to Rs 353.90, HINDALCO by -2.52% to Rs 210.50.,YESBANK by -1.97% to Rs.268.30.

Analysis Of Top Gainer And Loser

IBULHSGFIN is the top gainer in today's market session, In a regulatory filing, Indiabulls Housing Finance on Wednesday said it has raised Rs 17,300 crore in the March quarter of 2018-19. The company plans to borrow Rs 26,000 crore in the current financial year.

TCS is the top loser in today's market, On the expectation of a decline in Q4FY2018-19 results the stock has witnessed selling pressure in todays market trade, The stock was down by 3 %.

AUROPHARMA is currently quoting at Rs.788.50 up by Rs 15.85 or 2.05% from its previous closing of Rs.772.65 on the NSE. The scrip opened at Rs.775.00 & has touched a high & low of Rs.789.50 and Rs. 772.80. respectively. So far 12,77,490(NSE) shares were traded on the counter. The current market cap of the company is Rs 45,839.11Cr. The NSE/BSE group stock has touched a 52 week high of Rs.830.45 on 04-DEC-2018 & a 52 week low of Rs.527.00 on 04-JUN-2018.

VIPIND is currently quoting at Rs.475.05 down by Rs.-12.75 or -2.61% from its previous closing of Rs.487.80 on the NSE. The scrip opened at Rs.489.30 & has touched a high & low of Rs.489.75 and Rs.472.65 respectively. So far 3,19,978(NSE) shares were traded on the counter. The current market cap of the company is Rs 6,717.52Cr. The BSE/NSE group stock has touched a 52 week high of Rs 647.00 on 28-AUG-2018 & a 52 week low of Rs 313.15 on 04-APR-2018.

Nifty retreats from life highs on profit-booking, Ahead Of RBI Policy

Indian share market started positively with Sensex opened at a record high. the Sensex is up 119.33 points at 39175.98, while Nifty up 31.90 points at 11745.10. All the sector compiled by NSE advanced, led by the Nifty PSU Bank Indexs 0.83 percent gain. While, the NSE Nifty Media Index was the top sectoral loser, down 0.4 percent. The Indian rupee opened higher against the U.S. dollar. The home currency appreciated as much as 0.25 percent to 68.57 against the greenback.

In the afternoon session, the Nifty 50 Index hit a new all-time high at 11,761. The Sensex was Up by 149.39 points or 0.38% at 39,206.04 and the Nifty was up by 26.50 points or 0.23% at 11,739.70. Among sector Reality, Metal & Auto were trading higher while Pharma, Energy, IT &media were trading in the red. In a Broder Market, NSE mid-cap was Up by 0.24% and smallcap indices were trading Higher by 0.26%, respectively.

Indian Share market Update in the last hour of trade, Nifty was trading above 11700 Mark. Indian equity benchmarks halted a four-day rally, as sentiment turned negative after a private weather forecaster Skymet said it expected a 'below normal' monsoon this year. "Profit-booking has started and that coupled with the monsoon forecast, has impacted the markets investors are also awaiting the outcome of the RBI's interest rate decision due tomorrow. the Sensex was down 179.53 points at 38877.12, while Nifty was down 69.20 points at 11,644. All the sectoral compiled by NSE fell, led by the Nifty PSU Bank Indexs 2.7 percent decline. In the broader Market Update, the NSE MidCap Index was down by 1.11 percent and the NSE SmallCap Index was lower by 1.07 percent.We expect consolidation to continue in the near term. Tomorrows RBI monetary policy would provide further direction to the market. Soft inflation and muted domestic macro data have increased the probability of a rate cut. Further, MPCs commentary on future interest rate and inflation trajectory would be closely monitored by the market participants. On the global front, the movement of crude oil prices and currency would remain on the market radar.

Top Gainers

IBULHSGFIN by 3.51% to Rs 868.95. ,MARUTI by 2.92% to Rs 7,091.00 ,BAJAJFINSV by 1.72% to Rs 7,405.05, HCLTECH by 1.09% to Rs 1,114.65, TATASTEEL by 0.73% to Rs 534.50.

Top Losers

BPCL By -4.60% to Rs 363.00, ZEEL by -3.90% to Rs 401.40 ,IOC by -2.97% to Rs 153.45, GAIL by -2.54% to Rs 353.40.,SBIN by -2.40% to Rs.321.10.

Analysis Of Top Gainer And Loser

IBULHSGFIN is the top gainer in today's market session, The company is witnessing a good buying interest before the RBI monetary Meet decision on the expectation of rate cut.

BPCL is the top loser in today's market, The increased in crude oil prices have put the pressure on the oil marketing companies and seen under selling from couple of days.

Key Market News

World trade reduce by 0.3 percent in the fourth quarter of 2018 and is expected to grow by 2.6 percent this year, slower than 3.0% growth in 2018 and below a previous forecast of 3.7%, the World Trade Organization stated.

SUBROS is currently quoting at Rs.289.90 up by Rs 2.65 or 0.92% from its previous closing of Rs.287.25 on the NSE. The scrip opened at Rs.288.00 & has touched a high & low of Rs.289.90 and Rs. 283.25. respectively. So far 85,885(NSE) shares were traded on the counter. The current market cap of the company is Rs 1,891.18Cr. The NSE/BSE group stock has touched a 52 week high of Rs.378.60 on 18-SEP-2018 & a 52 week low of Rs.205.25 on 28-JAN-2019.

BIOCON is currently quoting at Rs.608.00 down by Rs.-7.20 or -1.17% from its previous closing of Rs.615.20 on the NSE. The scrip opened at Rs.616.05 & has touched a high & low of Rs.618.50 and Rs.606.60 respectively. So far 6,31,713(NSE) shares were traded on the counter. The current market cap of the company is Rs 36,480.00Cr. The BSE/NSE group stock has touched a 52 week high of Rs 718.00 on 26-SEP-2018 & a 52 week low of Rs 543.30 on 26-JUL-2018.

Sensex Closes At Record High; Tata Motors surges

Indian share market started strong with Nifty around 11,700 level. the Sensex was up 86.98 points or 0.22% at 38958.85, and the Nifty up 9.70 points or 0.08% at 11678.90. All the sector compiled by NSE advanced, led by the Nifty Realty Indexs 1.03 percent rally. While, the Nifty Media Index was the top sectoral loser, down 1.3 percent. The Indian rupee slipped within the early trade on a weekday. It opened lower by 12 paise at 69.27 per dollar versus Friday's close 69.15.

In the afternoon session, the Indian share market index was trading higher, Nifty was hovering around 11700 Mark. , The Sensex was Up by 161.48 points or 0.42% at 38,033.35 and the Nifty was up by 41.00 points or 0.35% at 11,710.15. Among sector Reality, Auto, PSU bank were trading higher while Pharma and media were trading in the red. In a Broder Market, NSE mid-cap was Up by 0.23% and smallcap indices were trading Higher by 0.02%, respectively.

Indian Share market Update in the last hour of trade, Nifty was trading above 11700 Mark. Indian share market ended higher for the fourth consecutive day, Nifty finished above 11,700 level. The investors turned their focus to a key three-day RBI meeting. The Reserve Bank of India (RBI) is expected to cut its benchmark lending rate for a second consecutive time when its meeting ends on Thursday. the Sensex was up 184.78 points at 39056.65, while Nifty was up 44 points at 11713.20. Among Sector compiled by NSE advanced, led by the Nifty Realty Indexs 2.3 percent rally. While, the Nifty Media Index was the top sectoral loser, down 0.87 percent. In the broader Market Update, the NSE MidCap Index was up by 0.38 percent and the NSE SmallCap Index was lower by 0.21 percent. In the near term, we expect some consolidation post the recent run-up. The upcoming RBI monetary policy would provide further direction. Soft inflation and muted domestic macro data have increased the probability of a rate cut. Further, MPCs commentary on future interest rates and inflation trajectory would be closely monitored. On the global front, the movement of crude oil prices and currency would remain on the markets radar.

Top Gainers

TATAMOTORS by 8.62% to Rs 203.50. ,BHARTIARTL by 4.46% to Rs 356.00 ,EICHERMOT by 2.80% to Rs 20,610.00,SBIN by 2.53% to Rs 330.90,BAJFINANCE by 2.38% to Rs 3,073.00.

Top Losers

ZEEL By -2.81% to Rs 419.55, BPCL by -2.42% to Rs 382.40,BAJAJ-AUTO by -2.32% to Rs 2,848.00, BRITANNIA by -1.77% to Rs 2,995.85.,SUNPHARMA by -1.75% to Rs.470.45.

Analysis Of Top Gainer And Loser

TATAMOTORS is the top gainer in today's market session, Tata Motors extended gains for the fourth consecutive trading session After The company's British luxury car unit Jaguar Land Rover (JLR) on Friday reaffirmed expectations of a financially higher fourth quarter.

ZEEL is the top loser in today's market, The promoters of Zee Entertainment have sold Rs 332 crore worth of the firms shares in recent months, according to exchange disclosures.

Key Market News

RBI modified the revelation on material divergences on provisioning, saying the bank will have to disclose their provisions if the divergence is more than 10% of the banks PBT compared to 15% of PAT earlier.

Output growth of eight core industries slowed down to 2.1% in February 2019 against 5.4% growth during February 2018.

The RBI can once more swap up to $5 billion to infuse sturdy liquidity within the system, a month after the first swaps saw a massive response from banks.

The price of Aviation Turbine Fuel (ATF) was hiked by Rs 677.1 per kilolitre, or 1.07 percent, to Rs 63,472.22 per kl in the national capital.

The price of non-subsidized cooking gas (LPG) has been increased by Rs 5 per 14.2-kg cylinder. It will now cost Rs 706.50 in the national capital.

Goods and Services Tax (GST) collection has touched Rs 11.77 trillion in fiscal 2018-19, with the record realization of Rs 1.06 trillion in March alone.

Stocks To Watch

LUPIN is on the upside while APOLLOTYRE is on the downside.

LUPIN is currently quoting at Rs.776.50 up by Rs 10.30 or 1.34% from its previous closing of Rs.766.20 on the NSE. The scrip opened at Rs.767.00 & has touched a high & low of Rs.783.65 and Rs. 759.05. respectively. So far 26,66,266(NSE) shares were traded on the counter. The current market cap of the company is Rs 35,151.97Cr. The NSE/BSE group stock has touched a 52 week high of Rs.986.10 on 10-SEP-2018 & a 52 week low of Rs.719.80 on 28-MAR-2019.

APOLLOTYRE is currently quoting at Rs.221.05 down by Rs.-4.80 or -2.13% from its previous closing of Rs.225.85 on the NSE. The scrip opened at Rs.226.10 & has touched a high & low of Rs.226.50 and Rs.219.75 respectively. So far 23,92,936(NSE) shares were traded on the counter. The current market cap of the company is Rs 12,670.91Cr. The BSE/NSE group stock has touched a 52 week high of Rs 307.25 on 17-APR-2018 & a 52 week low of Rs 192.05 on 23-OCT-2018.

Indian share market started positively with Nifty above the 11,650 level, building on strong gains of March, tracking a rally in Asian markets. the Sensex was up 189.65 points or 0.49% at 38862.56, and the Nifty up 53.10 points or 0.46% at 11677.00. All the sector compiled by NSE advanced, led by the NSE Nifty Metal Indexs 1.64 percent rally.

In the afternoon session, the Indian share market index was trading higher, Nifty was hovering around 11700 Mark. , The Sensex was Up by 255.10 points or 0.66% at 38,928.01 and the Nifty was up by 63.75 points or 0.55% at 11,687.65. All the sectors were trading in the green, led by Metal, Bank, Infra & IT. In a Broder Market, NSE mid-cap was Up by 0.98% and smallcap indices were trading Higher by 1.49%, respectively.

Indian Share market Update in the last hour of trade, Nifty was trading at days high above 11700 Mark. Indian share market ended higher but off day's high on the back of last hour selling pressure on the first day of the financial year 2020. The Sensex touched a record high of 39,115.57 during the day, while Nifty also closed above 11,650 level. The Sensex rose 164.27 points at 38,837.18, while Nifty was up 31.70 points at 11,655.60. Among Sector compiled by NSE advanced, led by the Nifty realty indexs 0.87 percent fall. While, the Nifty Metal Index was the top sectoral gainer, up 1.84 percent. In the broader Market Update, the NSE MidCap Index was up by 0.41 percent and the NSE SmallCap Index was higher by 0.98 percent.

Top Gainers

TATAMOTORS by 7.49% to Rs 187.30. ,HINDALCO by 5.28% to Rs 216.35,BHARTIARTLby 2.97% to Rs 343.00,WIPRO by 2.69% to Rs 261.65,MARUTI by 2.51% to Rs 6,840.00.

Top Losers

ZEEL By -3.28% to Rs 430.90, UPL by -2.80% to Rs 932.00,EICHERMOT by -2.59% to Rs 20,015.00, IOC by -2.55% to Rs 158.70.,INDUSINDBK by -2.23% to Rs.1,740.35.

Analysis Of Top Gainer And Loser

TATAMOTORS is the top gainer in today's market session, After The company's British luxury car unit Jaguar Land Rover (JLR) on Friday reaffirmed expectations of a financially better fourth quarter.

ZEEL is the top loser in today's market, The company was under the selling pressure in todays market trade, The stock was down around 3.3 %.

Basmati rice export is projected to hit a record level of Rs 30,000 crore or nearly $4.28 billion (at Rs 70 a dollar) this season. In addition, shippers are getting a higher realization vis--vis their procurement cost

Hindustan Petroleum Corporation will be replaced by Britannia Industries in the Nifty50.

India's current account deficit (CAD) came in at USD16.9b (2.5% of GDP) in 3QFY19 as against USD13.7b (2.1% of GDP) in the year-ago quarter.

Indian Fiscal deficit crosses 134% of budget estimate at Feb-end.

India's foreign exchange reserves surge for the third week in a row, adding $1.029 billion at $406.667 billion in the week to March 22.

The government is looking to raise Rs 4.42 lakh crore through market borrowings in the first half of 2019-20, finance secretary Subhash Chandra Garg said on March 29.

BHEL is currently quoting at Rs.75.95 up by Rs 1.00 or 1.33% from its previous closing of Rs.74.95 on the NSE. The scrip opened at Rs.75.45 & has touched a high & low of Rs.77.85 and Rs. 74.80. respectively. So far 2,51,56,745(NSE) shares were traded on the counter. The current market cap of the company is Rs 26,428.86Cr. The NSE/BSE group stock has touched a 52 week high of Rs.91.15 on 12-APR-2018 & a 52 week low of Rs.56.20 on 05-FEB-2019.

DABUR is currently quoting at Rs.400.55 down by Rs.-8.25 or -2.02% from its previous closing of Rs.408.80 on the NSE. The scrip opened at Rs.410.05 & has touched a high & low of Rs.411.35 and Rs.399.10 respectively. So far 59,07,663(NSE) shares were traded on the counter. The current market cap of the company is Rs 70,916.59Cr. The BSE/NSE group stock has touched a 52 week high of Rs 490.65 on 27-AUG-2018 & a 52 week low of Rs 326.20 on 02-APR-2018.

At Niveza India Pvt Ltd., we all come to work everyday to take the challenges of stock market head on and to change people's
perception that stock market investment is like a gamble. Over the years, we have built our profile as a company which has brought
optimum value to our subscribers through our well-researched stock recommendations....
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At Niveza India Pvt Ltd., we all come to work everyday to take the challenges of stock market head on and to change people's
perception that stock market investment is like a gamble. Over the years, we have built our profile as a company which has brought
optimum value to our subscribers through our well-researched stock recommendations. We don't promise you unrealistic returns,
we don't chase intraday or F&O dreams. We believe in the ideals of value & growth investment; these values are reflected in our
products. We are always marching ahead with the goal to better ourselves.

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